What is an Administration Order?

An administration order is a way to deal with debt if you have a county court or High Court judgment against you and you can’t pay in full.

The debt must be less than £5,000.

You make 1 payment a month to your local court. The court will divide this money between your creditors. Creditors listed on the administration order can’t take any further action against you without the court’s permission.

To get an administration order you need to fill in an application (Form N92) and return it to your local court.

The court decides:

how much of your debt you have to repay, eg all or just part of it

how much your monthly repayments will be

how long the arrangement lasts

The arrangement is known as a ‘composition order’ if you can’t pay all your debts.

To be eligible you must:

owe less than £5,000, including any interest and charges

owe money to at least 2 creditors

prove you can afford regular repayments, eg give details of your income

have a county court or High Court judgment against you, which you can’t pay in full